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Google is preparing to challenge Apple’s iPhone 4s with its new Android handsets that will have both low-cost software and stock Android software. The iPhone 4s remains a popular device for users looking to upgrade from entry-level devices, even though it is a couple of years old. The new device by Google, dubbed the “AndroidOne” will be a low-cost device that Google plans on working directly with local electronics on. This will be beneficial for manufacturers because they will be able to take advantage of hardware reference designs for quicker time-to-market and cheaper development costs.

Android One’s first market will be India, with three companies launching them under the new program. During Google’s I/O keynote address recently, Google’s executive Sundar Pichai showed off a 4.5-inch handset that had dual SIM car slots, a FM radio, and a removable SD card. According to Pichai, "these are high-quality, affordable smartphones."

The 3-year old iPhone 4s is a major sales driver in India, as it still sells for $450 before discounts and subsidies. For the March quarter, the iPhone 4s is thought to have generated as much as 25% of Apple’s iPhone sales, bringing in almost 10 million new users. Along with the iPhone 4s, the 8GB iPhone 5c will be Apple’s new low-end option which has already been released in Brazil, China, Brazil, and other countries.